BBGI Corporate takeover - possible loss of entire value of shareholding?

Hoenir

NickAnt1961 said:

Certainly will be keeping an eye on all corporate actions from now on.

If you are trading individual shares for the long term hopefully a lot more than just Corporate actions. The stock market is a roller coaster ride. Just when you are feeling comfortable and smug. The floor disappears from beneath your feet. Your shirt gets ripped off your back. There's no one to guide you in the darkness. As it's every person to themselves. 

itm2

Remember the "Tell Sid" campaign from the 1980s, when ordinary punters were encouraged to pile into British Gas shares and join the great share-owning revolution? I don't remember there being much mention of needing to engage with the detail of Corporate Actions and other potential pitfalls of share ownership. IMHO it raises interesting questions about what level of expertise retail investors should be expected to have.
Even now there are calls to scrap cash ISA's in order to encourage ordinary savers to invest in more risky types of asset. Is that responsible advice for people who have no interest or expertise in investment, and don't want to put their savings at risk?
Having been sold the dream of share ownership by Thatcher in the 80s, are we only now waking up to the reality of it all? If this really is intended to be a marketplace for the masses, how much expertise should we realistically expect the masses to have?

NickAnt1961

There must be around 14 Million shares about £20 Million that did not get bought out by BCI because the offers were not accepted in time by the shareholders ,small fry to the 1 Billion paid. But a lot of money for small investors concerned.

Hoenir

itm2 said:

Remember the "Tell Sid" campaign from the 1980s, when ordinary punters were encouraged to pile into British Gas shares and join the great share-owning revolution? I don't remember there being much mention of needing to engage with the detail of Corporate Actions and other potential pitfalls of share ownership. IMHO it raises interesting questions about what level of expertise retail investors should be expected to have.

I'd say retail investors in the past were more diligent. Trading wasn't possible at the click of a button. Like placing a bet at the bookies or playing a fruit machine as it is today. Then there was the cost of buying and selling as well.  As a result investing was a far more considered and thought through activity. With many retail investors who had a real interest in the topic. Trading through properly run Investment Clubs. With investing more gamified and on the back of the longest bull market in history. There's a definate feeling of complancencey and air of what on earth could possibly go wrong. 

LHW99

You can end up with a lot of sales literature from HL through multiple channels (unless you make sure your preferences are set right). So it's possibly easy for small investors to get used to filing it all in the bin without actually checking through / reading all the announcements.